Show your work and explain your answer. This is a multi-part question and all parts must be answered.

QS 16-17 (Algo) Computing financing cash outflows LO P3 A comparative balance sheet and income statement is shown for Cruz, Incorporated. 2020 CRUZ, INCORPORATED Comparative Balance Sheets At December 31 2021 Assets Cash $ 63,600 Accounts receivable, net 27,400 Inventory 57,400 Prepaid expenses 3,500 Total current assets 151,900 Furniture 70,500 Accumulated depreciation,Furniture (10,900) Total assets $ 211,500 Liabilities and Equity Accounts payable $ 10,000 Wages payable 6,000 Income taxes payable 1,000 Total current liabilities 17,000 Notes payable (long-term) 20,700 Total liabilities 37,700 Equity Common stock, $5 par value 153,600 Retained earnings 20,200 Total liabilities and equity $ 211,500 $ 15,900 33,700 63,300 2,900 115,800 82,200 (6,200) $ 191,800 $ 14,100 3,300 1,800 19,200 47,800 67,000 124,000 800 $ 191,800 CRUZ, INCORPORATED Income Statement For Year Ended December 31, 2021 Sales Cost of goods sold Gross profit Operating expenses (excluding depreciation) Depreciation expense Income before taxes Income taxes expense Net income $ 328,400 211,300 117,100 60,000 25,300 31,800 11,600 $ 20,200 1. Assume that all common stock is issued for cash. What amount of cash dividends is paid during 2021? 2. Assume that no additional notes payable are issued in 2021. What cash amount is paid to reduce the notes payable balance in 2021? Required 1 Required 2 Assume that all common stock is issued for cash. What amount of cash dividends is paid during 2021? Retained Earnings Beginning balance 800 2021 Net income 20,200 Dividends paid Ending balance 21,000 Required 1 Required 2 Assume that no additional notes payable are issued in 2021. What cash amount is paid to reduce the notes payable balance in 2021? Notes Payable Beginning balance Payment on notes payable 47,800 Ending balance 47,800